The Government of Maldives has opened subscription for four new Treasury Bills totalling MVR 968.8 million, with yields rising across most maturities compared to earlier issues this year. The sale takes place on 15 June, with settlement scheduled for the following day.
This latest issuance spans four maturities, from 28 days to 364 days, and includes an increase in the interest rates offered, particularly for the 182-day and 364-day instruments. The one-year T-Bill is priced with a 4.60 percent yield, the highest offered in recent months, suggesting growing costs for short-term government borrowing.
The bulk of the funds is being raised through a 98-day bill worth MVR 368.8 million at a rate of 3.87 percent. Other offerings include MVR 150 million in 28-day bills at 3.50 percent, MVR 200 million in 182-day bills at 4.23 percent, and MVR 250 million in 364-day bills at the peak rate of 4.60 percent.
T-Bills remain a key tool for managing government cash flow and financing budget deficits. However, continued reliance on short-term debt at increasing costs raises questions about the sustainability of public borrowing and whether a longer-term strategy is in development.
